Cushman & Wakefield Completes $10 Million Sale of California Industrial Property
VISTA, Calif., March 22, 2013 - Commercial real estate services firm Cushman & Wakefield has completed the sale of 2611 Business Park Drive, a 125,000-square-foot industrial building in Vista, Calif. The sale price was $10.145 million.
Cushman & Wakefield represented both sides in the transaction, with Joe McDermott and Ron King of the firm's Carlsbad, Calif., office representing seller Hallam Trust. McDermott and Robert Willingham represented the buyer, SR Commercial of Solana Beach, Calif. (SRC).
SRC is a privately held full-service commercial real estate company that specializes in acquiring, owning and developing income-producing industrial and retail properties. SRC operates and invests in commercial real estate assets located in prime locations throughout the tightest submarkets of Southern California.
"This was a combination of a business sale and a real estate note sale, and both were contingent upon the other," said McDermott. "It was a complicated transaction that we were successfully able to complete."
Seller Hallam Trust is an entity affiliated with tenant Dimension One Spa, and while Hallam sold the asset to SR Commercial, Dimension One Spa simultaneously sold the business to Jacuzzi. Dimension One Spa, under Jacuzzi ownership, will remain the occupant until the end of this year.
"We currently have the property back on the market for sale or lease," said McDermott.
Constructed in 1999, 2611 Business Park Drive combines industrial corporate headquarters, manufacturing and distribution space on a 9.5-acre site north of San Diego, near Oceanside, with access to I-5 and I-15. The property has an acre of excess land that, per zoning, can be used for outside storage. The new owner plans to complete deferred maintenance and upgrade the building's appearance and functionality.
"The market has quietly gotten much healthier," said McDermott. "In certain segments, such as the large building segment, which drove the 2611 building sale, there are only a handful of buildings above 100,000 square feet left. This particular building is one of the premier assets available because of the amount of high-end office space and the extra acre of enclosed outside yard. We're positioned to get the next tenant because it's the best building out there."
Cushman & Wakefield's industrial brokerage platform provides global resources and local expertise for tenant and landlord representation, disposition and acquisition services, transaction management, and industrial consulting including labor and demographic analysis. In 2012, in the U.S. alone, this group completed more than 7,020 industrial real estate transactions - totaling 261 million square feet - with an aggregate value in excess of $8.43 billion.